Sri Lanka to obtain USD 140 million loan from China Development Bank

[Vanguard One]

Sri Lanka has inked an agreement with China Development Bank to obtain a USD 140 million loan, as it faces the challenge of debt repayments amidst an economic crisis.

“…drawdown will be under two tranches of USD 70 million each,” a spokesman for the Chinese Embassy told News 1st on Wednesday.

Sri Lanka is expected to repay USD 2.9 billion of its debt, which Colombo is reportedly trying to reschedule with bilateral partners, according to Indian media reports.

High-level discussions are underway regarding the request made by Prime Minister Mahinda Rajapaksa for a debt moratorium, Indian newspaper The Hindu reported.

Senior-level talks were held at the Indian High Commission in Colombo as well as in New Delhi, India, the report said.

It added that it is unclear how Sri Lanka will repay the apparently non-negotiable $ 1 billion international sovereign bond maturing this October.

Sri Lanka has requested India for a debt moratorium and also currency swap facilities, as it struggles on the economic front, with the growth rate expected to drop to 1.5 percent by the end of 2020.

https://southasiamonitor.org/sri-lanka/sri-lanka-obtain-usd-140-million-loan-china-development-bank

 

[Uguduwa]

we are absolutely ****ed

 

[Vanguard One]

we are absolutely ****ed

Is Hambantota Port running a profit? Do you know?

SL is in deep trouble soon Sri Lanka is going to be a vassal state, if now already.

 

[Path-Finder]

we are absolutely ****ed

well wouldn't india offer a better package?

 

[HalfMoon]

well wouldn't india offer a better package?

LoL

Indians themselves are begging for loans.

 

[CAPRICORN-88]

Urgent debt repayment need to service loans by EU banks which if I am not mistaken that amount to 22 billion.

China suspended repayment of its debt during the pandemic period to 77 nations.

Right now only Chinese banks are will to loan to subprime borrowers like Sri Lanka and these are at commercial rate.
Debt trap??? So did China created it?

Is Hambantota Port running a profit? Do you know?

SL is in deep trouble soon Sri Lanka is going to be a vassal state, if now already.

Hambantota Port is still under construction and is already leased to China for 99 years.
Whether it is profitable or not, is none of Sri Lanka government or any other nation business.
Why are you so concern?

 

[HalfMoon]

Is Hambantota Port running a profit? Do you know?

SL is in deep trouble soon Sri Lanka is going to be a vassal state, if now already.

A person bankrupt Ireland worried about Sri Lanka being a vassal state?

 

[Uguduwa]

well wouldn't india offer a better package?

Who gives a shit about india? This is about sri lanka being a pathetic begging banana republic

 

[Figaro]

Sri Lanka should ask the IMF

 

[kankan326]

There is no free lunch. I always wonder why some countries always complain the lunch is not for free for them.

 

[newb3e]

why go to china for money they could have gone to supa rich supa powa of Asia India and got free money! idiot srilankans!

 

[bolo]

Sri Lanka should ask the IMF

Sri Lanka should ask IMF but there's conditions to the loan and higher interest rates.

 

[CAPRICORN-88]

Sri Lanka should ask the IMF

They did.

 

[shi12jun]

Why doesn't Sri Lanka borrow money from great Indian Modi govt?